France to cut €5bn in further public spending in 2014
Reuters.com – 08/03/13
On Friday, French Prime Minister Jean-Marc Ayrault announced that ministries are expected to cut a further €5billion next year. Last month, the government admitted that EU directed deficit ceiling of 3% was unachievable. Jens Weidmann, a member of the ECB council, has lashed out at the French economic reforms, saying that they are “floundering”.
It has not yet been decided how the extra €5billion cuts, in addition to the €60billion public spending cuts planned for next year, will be achieved. However, these measures are deemed necessary during a time of low growth and spiralling unemployment in France. Read More